What is a harami Candlestick?

The Harami candlestick is a Japanese candlestick pattern that comprises of two candles which indicates a potential reversal or continuation in the market. The word ‘Harami’ is derived from the Japanese word for ‘pregnant’ which is representative of the Harami candlestick pattern.

What is a harami candlestick pattern on a NASDAQ 100 E-mini futures contract?

The chart below of the Nasdaq 100 E-mini Futures contract shows an example of both a bullish and bearish Harami candlestick pattern: The first Harami pattern shown on Chart 2 above of the E-mini Nasdaq 100 Future is a bullish reversal Harami. First, there was a long bearish red candle. Second, the market gapped up at the open.

What is a hammer candlestick pattern?

Bullish patterns may form after a market downtrend, and signal a reversal of price movement. They are an indicator for traders to consider opening a long position to profit from any upward trajectory. The hammer candlestick pattern is formed of a short body with a long lower wick, and is found at the bottom of a downward trend.

What is a bearish Harami pattern?

A Harami pattern can be either bullish or bearish, depending on the color of its candles. Each pattern consists of two Candlesticks that occur on successive days: Harami is the Japanese word for “pregnant.” What Is a Bearish Harami?